Why Manufacturing, Not the New Economy, is the Key to Future Prosperity.
Conventional wisdom says that advanced countries should abandon manufacturing to pursue a supposedly more prosperous future in so-called "new economy" services such as computer software, entertainment and finance. But recently, economists, financiers, politicians and business leaders have been engaged in an increasingly crucial debate as to whether such wisdom is sound.
In this controversial book, Fingleton argues that any country that adopts the "new economy" route at the expense of a manufacturing base risks economic enfeeblement. Far from mere snap-assembly work, modern manufacturing has moved on to a more sophisticated and profitable level - to the production of high-tech components and materials - that offers advanced nations a stronger economic platform than "new economy" services.
Fingleton examines three key areas essential for economic and social well-being for any advanced nation: a wide range of jobs; strong exports; and world-beating wages. In each case, he argues, modern manufacturing offers strong advantages over "new economy" services. This is demonstrated by Singapore, Germany and Switzerland, whose economic strengths derive form their rock-solid commitment to manufacturing.
